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View Full Version : Home Reno shows



MsM
Feb. 24, 2013, 10:14 AM
Too many stormy days has lead to too much time watching home renovation shows. I enjoy a lot of it and realize it is TV not real life. Still, some things bug me.

There will be a show evaluating homeowners' renos and telling what percent of their investment they could get back if they sold. It is almost always less than 100%. Then the next show shows the designer renovating a room or more and at the end they always claim more than 100% return in value - often 200%. Given that a they may choose projects with the best return, I am not believing that all of them exceed the averages by that much!

Then there are the "how to sell your house" shows. The experts come in and claim they need to do $10-20,000 to get the house sold. Then, oh, BTW, you need to drop your sale price by $20,000. And it ends with them "expecting an offer". I often wonder if they couldnt just drop the price and clean up their mess to get the house sold!

Finally, there are the investment property shows. Fix up the basement apartment to rent. Fair enough. But it bugs me that they totally ignore the $50,000 cost of renovation and claim the apartment is "paying the mortgage!" But where did the reno money come from and how is that being paid back?

Yeah, way too much time watching these shows :lol:

clanter
Feb. 24, 2013, 10:56 AM
Finally, there are the investment property shows. Fix up the basement apartment to rent. Fair enough. But it bugs me that they totally ignore the $50,000 cost of renovation and claim the apartment is "paying the mortgage!" But where did the reno money come from and how is that being paid back?


It has been a while since I have seen one of those shows, but I believe the renovation debt was calculated into the costs if the project was not done with cash on hand.

What they did not explain was the tax advantages of the investment.

Gestalt
Feb. 24, 2013, 11:35 AM
Somewhere I read that on most of the reality shows the true reality happens months later and the homeowner loses a great deal of money. Like the shows about fixing restaurants and hair salons. The "fix" works for awhile, but the reality of the situation returns and the owners loss their business. The problem was never mended, just bandaged.

clanter
Feb. 24, 2013, 11:52 AM
the ones I cannot get are the Flip this house deals.... there is usually enough video evidence to sue the contractor :lol: